APAR Industries Limited has announced its strategic entry into the telecom service business, marking a significant diversification into railway signalling and telecom infrastructure. The company disclosed this development through a regulatory filing dated January 29, 2026, pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015.

Major Contract Win from South Eastern Railway

The company has secured a substantial contract from South Eastern Railway following a competitive bidding process. This project involves the supply, erection, testing and commissioning of telecom towers and Optical Fiber Cable (OFC) backbone infrastructure across approximately 1,563 route kilometers.

Supporting India's Railway Modernization Initiative

This contract is part of Indian Railways' nationwide upgrade of signalling systems to enhance safety, automation, and operational efficiency. The infrastructure will support the deployment of Kavach, an indigenous Automatic Train Protection (ATP) system designed to prevent train collisions and ensure speed regulation.

The project will be executed under the Standard EPC Agreement framework adopted by Indian Railways, which emphasizes milestone-based payments and balanced risk allocation between the Authority and the Contractor.

Strategic Benefits and Future Prospects

The entry into telecom service business offers multiple strategic advantages for APAR Industries:

• Revenue Diversification: Building a scalable Telecom EPC platform capable of addressing mission-critical national projects and emerging digital connectivity needs
• Engineering Leverage: Harnessing APAR's existing engineering and project execution strengths to deploy advanced signaling, communication, and digital infrastructure systems
• Market Positioning: Contributing to India's vision for a safer, smarter, and more connected railway network through indigenous technology deployment

Investment and Execution Framework

The company has indicated that there may not be significant capital expenditure required for this project during the term of agreement. However, the estimated working capital requirement is around ₹10 crores to support the project execution.

Successful execution of this project is expected to deepen APAR's engagement with Indian Railways and position the company for future business opportunities across other railway zones. The contract also provides visibility into long-term infrastructure planning and digital transformation initiatives, expanding the company's footprint in communication infrastructure.

APAR Industries Limited has announced the grant of 21,399 Employee Stock Appreciation Rights (ESARs) to eligible employees under its comprehensive employee incentive program. The company's Nomination and Compensation-cum-Remuneration Committee (NCRC) approved this grant on January 29, 2026, as part of the "APAR Industries Limited – Employees Stock Appreciation Rights Plan 2024."

ESAR Grant Details

The granted ESARs represent a maximum of 21,399 equity shares with a face value of Rs. 10 each. The committee has structured the plan to ensure compliance with regulatory requirements while providing meaningful incentives to employees.

Vesting and Exercise Framework

The ESAR plan incorporates a structured timeline for vesting and exercise to align employee interests with long-term company performance. The vesting period extends to a maximum of 4 years from the grant date, providing employees with a reasonable timeframe to earn their rights.

Regulatory Compliance and Administration

The ESAR 2024 plan operates in full compliance with SEBI (Share Based Employee Benefits and Sweat Equity) Regulations, 2021. The Nomination and Compensation-cum-Remuneration Committee administers the plan and determines eligibility based on performance parameters outlined in the scheme.

Key administrative features include:

• Grant eligibility based on specified performance criteria
• Provisions for handling ESARs in cases of death, permanent incapacity, resignation, termination, or retirement
• Structured approach to ensure regulatory compliance
• Committee oversight for fair and transparent administration

Meeting and Disclosure Details

The NCRC meeting that approved the ESAR grant concluded at 12:42 p.m. IST on January 29, 2026. The company has fulfilled its disclosure obligations under Regulation 30 of the SEBI Listing Regulations by informing both the National Stock Exchange of India Limited and BSE Limited about this development.

This ESAR grant represents APAR Industries' continued commitment to employee retention and motivation through equity-linked compensation structures. The plan's design reflects the company's focus on aligning employee rewards with long-term shareholder value creation while maintaining strict adherence to regulatory frameworks.